Dömötör, Barbara and Kovács, Erzsébet (2018) Determinants of FX-risk hedging: evidence from Hungary. Hungarian Statistical Review, 1 (1). pp. 23-37. ISSN 2630-9130
|
Text
2018_01_023.pdf Download (404kB) | Preview |
Abstract
The paper investigates the motives of FX (foreign exchange) risk management based on the changes in open forward positions among Hungarian corporations. The authors find that Hungarian companies were significantly more exposed in EUR short forward positions than in EUR long positions, probably due to the positive expected value of the former. Their linear regression model also proves that changing market conditions have a significant impact on EUR short forward positions. The analysis of the explanatory variables shows the dominant effect of foreign exchange rate changes. Expectations are found to determine risk-hedging decisions, demonstrating that financial risk management also has a speculative motive.
| Item Type: | Article |
|---|---|
| Subjects: | J Political Science / politológia > JA Political science (General) / politológia általában |
| Depositing User: | Zsolt Baráth |
| Date Deposited: | 09 Mar 2022 08:21 |
| Last Modified: | 09 Mar 2022 08:21 |
| URI: | http://real.mtak.hu/id/eprint/137390 |
Actions (login required)
 |
Edit Item |
